I want to offer free hosting and have a user signup that will create their account then and there...anyone seen something like this? Using a Raq4 server w/ linux.

This is exactly what I want to do!!! But I haven't found a script yet... I basically want to offer free e-mail and need a script that signs up a user...

There are a few control panels that will allow you to do this - have a look in the control panel forum.
If you search under 'free control panel' you'll find links to a lot of different panels/scripts etc.

I use a script called HomeFree from SolutionScripts that is pretty good. There is a newer version out now that should be even better. Support waned for a while, but I havn't been on the forums lately to see if it's picked back up. Tim Watson is the owner.

They also offer a script that allows you to manage free email accounts, (similar to hotmail, etc). I believe it is called AliasMail.

The site is: http://www.solutionscripts.com

Good luck!